MBIA Q2 Earnings Call Highlights

2 weeks ago 13

MarketBeat

Sat, August 8, 2026 astatine 1:03 PM CDT 7 min read

Key Points

Interested successful MBIA, Inc.? Here are 5 stocks we similar better.
MBIA's second-quarter nonaccomplishment narrowed: GAAP nett nonaccomplishment improved to $46 million, oregon $0.91 per share, from $56 cardinal a twelvemonth earlier, portion adjusted nett nonaccomplishment decreased to $7 million.
PREPA remains the cardinal issue: National's outstanding PREPA vulnerability fell by $35 cardinal to $390 million, but bondholders representing astir 90% of claims rejected Puerto Rico's astir $3 cardinal colony proposal. Litigation and negotiations stay unresolved.
Capital and strategical flexibility improved, though challenges remain: National's leverage declined to 21-to-1 and statutory superior roseate to astir $968 million. MBIA besides had $337 cardinal successful unencumbered currency and liquid assets, $71 cardinal remaining nether its buyback authorization, and continues to measure imaginable strategical transactions.

MBIA (NYSE:MBI) reported a narrower second-quarter nett nonaccomplishment arsenic little expenses tied to its Puerto Rico Electric Power Authority, oregon PREPA, vulnerability and favorable foreign-exchange movements helped results. Management said its main precedence remains resolving National Public Finance Guarantee Corp.'s remaining PREPA exposure, portion litigation and negotiations surrounding the utility's restructuring continue.

The institution posted a consolidated GAAP nett nonaccomplishment of $46 million, oregon $0.91 per share, for the 2nd 4th of 2026, compared with a $56 cardinal loss, oregon $1.12 per share, a twelvemonth earlier. Adjusted nett loss, a non-GAAP measure, improved to $7 million, oregon $0.14 per share, from $8 million, oregon $0.17 per share, successful the prior-year period.

→ Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling

Chief Financial Officer Joe Schachinger said the smaller GAAP nonaccomplishment reflected a reversal of ineligible expenses wrong a consolidated variable-interest entity related to Zohar CDO recoveries astatine MBIA Insurance Corp., arsenic good arsenic foreign-exchange gains. The currency gains were associated with the revaluation of euro-denominated medium-term-note liabilities successful the firm segment, compared with foreign-exchange losses successful the 2nd 4th of 2025.

PREPA Exposure Declines, but Settlement Remains Unresolved

National's outstanding PREPA vulnerability declined by $35 cardinal during the 4th to $390 cardinal of gross par value, pursuing insurance-policy claims paid connected PREPA bonds that matured July 1, CEO Bill Fallon said.

→ 4 Oil and Gas ETF Plays arsenic Prices Stay Sky-High

The outgo included $30 cardinal that has been transferred to a custody account, for which National holds custodial receipts, and $5 cardinal associated with a secondary policy. Fallon said the institution could merchantability up to $35 cardinal of those receipts if it receives what it considers an due terms oregon offer.

Read Entire Article